Raenest, one of Nigerian fintechs facilitating payments for remote workers, has raised $11 million in Series A funding, led by QED Investors, to expand its reach across Africa.
Other investors in the round include pan-African early-to-growth-stage VC firms, such as Norrsken22, Ventures Platform, P1 Ventures, and Seedstars.
The latest $11 million Series A round brings Raenest’s total funding to $14.3 million.
Raenest competes with several fintech startups offering multicurrency accounts to customers in Africa, including Afriex, Cleva, Grey, Verto, and Leatherback.
Funding to drive expansion
With this new funding, Raenest aims to deepen its operations in Nigeria, while also strengthening its Kenyan presence.
- The company also plans to enter the United States and Egypt this year, broadening its impact with Africans within the continent and outside the continent, and also attract top talent to support its growth.
- Currently, Raenest holds licenses in Nigeria as an approved International Money Transfer Operator [IMTO] and in Canada as a Money Services Business [MSB] and is working to secure additional licenses in key jurisdictions.
- The company has established strategic partnerships with leading banks in the US and UK, to ensure operational stability and reliability, and plans to use the funding to form additional collaborations with financial institutions worldwide.
The startup
Founded in 2022 by Victor Alade, Sodruldeen Mustapha, and Richard Oyome, Raenest initially operated as an Employer of Record (EOR) before evolving into a platform that redefines global banking for Africans, helping businesses and freelancers receive international payments, convert between currencies, operate a multi-currency wallet, while managing transactions seamlessly.
To date, the company claims it has amassed over 700,000 individual customers, processed over $1 billion in payments, and serves over 300 businesses, including MoniePoint, Helium Health, Fez Delivery, and Matta.
Addressing financial services barriers in Africa
Speaking on the funding, Victor Alade, CEO of Raenest, said the startup would continue to address the barriers that hinder Africans from accessing seamless financial services.
“This funding, supported by new and existing investors who share our mission, provides the momentum to scale our solutions and expand our impact across the continent. We are excited to continue building solutions that connect Africa to the world and drive inclusive growth and prosperity,” he stated.
Gbenga Ajayi, Partner and Head of Africa and the Middle East at QED Investors, also commented on the funding saying:
“At QED, we’re thrilled to support Raenest as they redefine cross-border banking for Africans.
“We firmly believe that by bridging the gap between local and global markets, Raenest will unlock new opportunities for African entrepreneurs, freelancers and businesses, ultimately driving greater economic empowerment across the continent.”
What you should know
Lead investor QED, one of the world’s top fintech VC firms, has been steadily increasing its footprint in Africa since 2022.
It has backed five startups providing financial services on the continent, which include Moniepoint, Remedial Health, Precium, Cedar Money, and now Raenest.
